The business setup services in Dubai give people a variety of possibilities, including free zone business setup in Dubai as well as mainland and offshore company setup in Dubai.
It is required to go through the entire procedure before opening a business in Dubai, beginning with the registration of your trade name in Dubai and finishing with the launch of your enterprise.
In order to complete the procedure, you must get a trade license in Dubai according to your selected company structure and business operations. However, let’s start by understanding what a trade license in Dubai actually is.
What Is A Trade License?
A trade license in Dubai is a legal document that enables you to legally carry out commercial activities there. It is a license issued by the relevant licensing authority that demonstrates your adherence to all laws and requirements necessary to operate a business in Dubai.
Types Of Trade Permits
Normal License
It requires the presence of a site leasing agreement and a Memorandum of Association, both of which can be acquired online or manually.
Instant License
It can be granted the option to issue a memorandum of association and a virtual site for the first year for a group of activities that do not require outside approvals in just one step and within just five minutes.
DED Trader License
This sole establishment license is available to home-based enterprises in Dubai that have been given a trade name. For a charge of AED 1070 (licensing fees and knowledge and innovation fees) plus AED 300 (Dubai Chamber membership fees), it may be applied through the “Invest in Dubai” website.
How Can You Get a Trade License in Dubai?
Obtaining a trade license for business setup in Dubai is not too difficult. You must complete a few simple steps to obtain your Dubai trade license.
Choose A Company Name
The first step in getting your trade license is to select an appropriate trade name. It must also be a name that no other existing, operational entity is now utilizing.
Set Out Your Legal Structure
You must decide on your company’s legal structure before moving forward with your trade license application. The legal framework will outline who is in charge of your company and how it is run.
Describe Your Business Activities
You must decide on the business operations you want to conduct after choosing the name and legal structure of your firm for business setup in UAE.
Obtain Additional Approvals
You could need outside authorization for some commercial actions. Before finishing the business formation procedure, be sure to do your homework. If not, your trade license can be turned down.
Gather The Necessary Documents
You will also need to provide several supporting documents along with your license and your completed application. Compile these documents and ensure that they have all the necessary signatures.
Choose A Location For Your Business
When it comes to the sort of trade license you apply for, you have a variety of choices.
After deciding on a location for your business, you must get a tenancy agreement. The contract, which you will provide with the rest of your application documents, must include Ejari‘s attestation for Business setup in UAE.
Application To Be Filled Out
Filling out your application form is the next step in the procedure. Fill out the form, and then send it to the Department of Economic Development for your first approval.
Payment Of License
To obtain your license, you must pay the license fee to the relevant licensing authorities.
How Can A Trade License Be Renewed?
Your Dubai trade license may not remain valid forever after it has been approved. Depending on the license package you choose at the start of company formation process, you need to renew your trade license either yearly or every 2-3 years. The license must be renewed in order to keep conducting business lawfully in the UAE.
Approvals
The first step in renewing your company license is to secure the required authorizations. The type of business will determine the kind of permits and authorizations required.
Application For License Renewal
You must apply for renewal at licensing authority and submit all the required documents in order to continue running a business in Dubai. The procedure is simple, and you must submit the listed below documents:
• A license renewal form
• a copy of the tenancy agreement
• a copy of the recent trade license
• a copy of each business partner’s and investor’s passport
Submit Your Payment
You receive a voucher for making the payment after the submission of the documents and the confirmation of their validity.
Get A Trade License In Dubai With BestaxCA!
BestaxCA offers professional business setup services in the UAE for establishing new companies and organizations around the UAE. Their strength is helping customers who are looking for new business prospects, comprehending legal processes, establishing contacts with local government officials, and creating a viable business model for company formation in the UAE with solutions.
Bottom Line
Getting a business license in Dubai is an essential phase in launching an effective business in this booming city. It not only offers legitimacy and protection under the law, but it also opens up a world of possibilities in a booming industry. Entrepreneurs may position themselves for long-term development, profitability, and success in Dubai’s dynamic business scene by taking advantage of the benefits of possessing a business license.
FAQs On How To Get A Trade License For Business Setup In UAE
1. Can I operate a company without a license in Dubai?
No, a Business setup in Dubai without a license is against the law and might result in fines and ultimate business closure.
2. How can I submit a business license application in Dubai?
Through the licensing departments website or by going to one of their customer service offices, you may apply for a business license in Dubai.
3. Does Dubai provide different kinds of business licenses?
Yes, depending on the nature of your company’s activity, the licensing authorities in UAE provide a variety of licenses, including commercial licenses, professional licenses, and industrial licenses.
4. Can foreign nationals register a business in Dubai?
In Dubai, foreigners can get a company license. However, some limitations or collaborations with UAE citizens may apply based on the business’s activity.
